Bulk buyer takes NoBe Bay condo

Miami /
Jun.June 14, 2011 07:06 PM
NoBe Bay in Miami Beach

A joint venture between two developers has purchased the last remaining unfinished Miami Beach condominium complex, the Nobe Bay.

Pordes Residential negotiated the deal for Arnaud Karsenti, principal of 13th Floor Investments, and Inigo Ardid, principal of Key International for the 98-unit Nobe Bay, which is located at 6700 Indian Creek Drive.

“The acquisition of NoBe By is a very interesting one relative to replacement costs,” Karsenti told The Real Deal. “This is one of the last few transactions in the Miami bulk market that can generate returns for the investor while still delivering value to the end user.”

The project was developed by the Merco Group in 2005, with Regions Bank as the primary lender.

But all pre-sales were eventually canceled and Tate Capital, the seller, entered into an agreement in 2009 to purchase the debt on the project and the accompanying 450-car garage, which is also incomplete.

Tate Capital is a partner and lender in the group that paid $100 million at the end of May for the note on the Omni in downtown Miami. (That group also includes Related’s Jorge Perez).

“The investment group got a good price and can quickly bring the project to market,” Pordes Residential President Mark Pordes said in a statement. “It was a very difficult deal to get done.”

Pordes’ firm has been responsible for several bulk deals of late, including the $125 million deal for 2700 North Ocean on Singer Island (the property is now the Ritz-Carlton Residences Palm Beach).

The new owners expect to spend between $8 million and $10 million to complete construction on the tower and the garage, with sales slated to begin by the fourth quarter of this year.

Karsenti said that the vast majority of the construction had actually been completed.

“We’re going to be finishing it to a very high standard for condominiums in South Florida,” he said. “The bulk of the construction has been built, so it’s really more of a finishing job. The building’s been topped off, and most of the structural work is already fully completed.”

Neither side released the terms of the deal.


Related Articles

arrow_forward_ios
Joel Meyerson and 24 Palm Avenue, Miami Beach (The Pure Source, Sotheby's)

CEO of cosmetics manufacturer buys Palm Island home for $11M

CEO of cosmetics manufacturer buys Palm Island home for $11M
Steve Witkoff and 4766 North Bay Road (Getty, Douglas Elliman)

Steve Witkoff pays $8M for waterfront North Bay Road lot

Steve Witkoff pays $8M for waterfront North Bay Road lot
The Allen Apartments with Mark Samuelian, Michael Gongora and Ricky Arriola (Miami Beach Community Development Corp., Wikipedia Commons)

Miami Beach may create incentives for affordable housing developers

Miami Beach may create incentives for affordable housing developers
Tudor House Art Deco and Essex House hotels (Wikipedia Commons)

Hotel height increases could be coming to Miami Beach’s Collins Avenue near Ocean Drive

Hotel height increases could be coming to Miami Beach’s Collins Avenue near Ocean Drive
Laurent Ouazana and 6505 Allison Road, Miami Beach (Twitter, Google Maps)

French insurance CEO buys Allison Island home next door to his new mansion

French insurance CEO buys Allison Island home next door to his new mansion
(Google Maps)

Weekly condo sales, dollar volume jump in Miami-Dade

Weekly condo sales, dollar volume jump in Miami-Dade
Jarrett Posner, Pablo Escobar with 5860 North Bay Road (The Waterfront Team)

Pablo Escobar’s former Miami Beach property sells for $11M

Pablo Escobar’s former Miami Beach property sells for $11M
Camilo Miguel Jr. and rendering of 4000 Alton Road

Mast Capital scores approval for Miami Beach condo project

Mast Capital scores approval for Miami Beach condo project
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...